Russia has been quietly working on a solution to the Korean peninsula. This solution is not involving heated discussions of threats and war as the West seems to like to induce. These discussions have been about gas. You know that lighter than air gold that fuels the world but is overshadowed by its brother – big oil…

Now this is not new news in Russia and I have been following it with personal interest. I have lots of articles about it in my news blog but I decided that today it was time to do some coffee thinking’s over the subject. So with that great cup of coffee, I have come to the conclusion that Russia has pegged a good deal on this situation with the Korean peninsula…

It has become fact now that Russia has procured the plans to build a $6 billion pipeline to South Korea. It of course will go through North Korea. That makes North Korea a transit country. This is a subject that was born when Kim Jong-il  and Medvedev had a pow wow back in August of 2011. Gazprom had already made a trip to the Korea’s to get the ground work laid and that is when a month later Kim Jong-il made one of his famous train trips to Russia. South Korea has also approved the deal and North Korea has clapped their hands in happiness at the money to be made by being a transit country…

They say that it is worth several hundred millions of dollars for North Korea in cash that North Korea just has to let the gas flow and do nothing else. South Korea is needing Russian gas, (like real bad and right now) it (gas) is being delivered by ocean tankers in the liquified form. Not the best way to do vast volumes of gas…

This is a huge step forward in the North/South relationship. This ties the countries with a strong financial bond that will hopefully see a pleasant change in working conditions between the two countries. Russia will front the money to build the pipeline and the several years of construction of the pipeline in North Korea will stimulate the economy to boot. Then all North Korea has to do is let the gas flow and collect the fees. So what an incentive the North will have to be good. With a annual gross product of around $10 billion, the North can use several hundred million more a year in dollars…

Kyle Keeton
Windows to Russia!

 

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